The Democrats are ignoring crypto — is that a good thing?

Cryptocurrencies were not mentioned once as Democrats outlined their priorities for the next four years, but some argue that this means Biden’s aggressive push will end.

The 2024 Democratic National Convention kicked off yesterday in Chicago, with Kamala Harris expected to be officially confirmed as the party’s presidential nominee.

In recent days, rumors have been circulating that his campaign is preparing to adopt a more open stance against crypto regulations, in contrast to Joe Biden’s aggressive crackdown policy.

Groups like Crypto4Harris have emerged, with top Democrats and entrepreneurs arguing that Donald Trump has no monopoly on proposing literate policies.

Senate Majority Leader Chuck Schumer announced during a virtual meeting that crypto legislation could be passed this year, ending years of paralysis in Congress.

So, with the DNC kicking off with names like Joe Biden and Hillary Clinton taking the floor, there was optimism that digital assets might get a mention, at least for a short while.

Everything was going well until Democrats laid out their priorities for the next four years in a formal 92-page document, but it made no mention of cryptocurrencies.

This will be a disappointment to ardent believers in the potential of this sector but who do not want Trump to win a second term in the Oval Office.

There was even more panic when rumors began circulating that Gary Gensler, who was accused of “forced regulation” during a controversial period as SEC chairman, could be tapped to be the next Treasury secretary if Harris wins in the fall.

Custodia Bank CEO and Bitcoin supporter Caitlin Long poured cold water on the news, declaring the speculations false and saying that this is probably a good thing considering how it will affect the decision of anyone voting based solely on cryptocurrencies.

Given the shift away from cryptocurrencies, it would be easy to assume that American investors should expect the same things: gray areas, inconsistency and a flight of top talent to rival economies that are more open-minded to digital assets.

But strangely, many Democrats who own BTC are trying to argue that this is a good thing and could actually herald a reset in how cryptocurrencies are treated by lawmakers.

2024 Dem Platform released. No mention of crypto.

Some texts before Biden’s fall (see 19 mentions of “Biden 2nd term”) – but if Harris was serious about the reset, she missed the opportunity. Otherwise, the next 4 years are just a continuation of Biden administration policies. https://t.co/NfWSM4OQ11 pic.twitter.com/84oln1SFcK

— Alexander Grieve (@AlexanderGrieve) August 19, 2024

A ‘very good’ centre

Crypto analyst Adam Cochran believes the absence of digital assets on the party platform could be indicative of a more hands-off approach and the end of “anti-crypto rhetoric.”

Since I’ve been labeled as such by a bunch of idiots, let me just point this out:

-Not mentioning crypto is a pivot.

We’ve been hearing anti-crypto rhetoric for years, with Warren shouting for an “anti-crypto army” and Treasury, OFAC and the Fed creating gridlock by claiming crypto is about money… https://t.co/y8hI2EEcKJ

— Adam Cochran (adamscochran.eth) (@adamscochran) August 19, 2024

He noted that some Democrats, including Senator Elizabeth Warren, had been lobbying for a much more aggressive stance against crypto, but there were growing signs that the party was now heading in another direction.

Cochran said the party platform would cause concern if the SEC were to take on more authority, impose a complete ban on cryptocurrencies, or push for a “formal bottleneck strategy” designed to make trading impractical for consumers and businesses. He wrote in X:

“Crypto doesn’t need government subsidies to succeed. It needs a non-hostile environment. Proactive and supportive policy is great, but it also takes time to develop.”

Not everyone agrees with his analysis here; some argue that complete silence on the issue does not mean things will get better.

The Bitcoin Voter Project, founded by several leading US mining firms, claimed that “Democrats are missing a major opportunity to mobilize and mobilize millions of left-leaning Bitcoin users.”

Sure, crypto was worth a mention at some point in a 92-page party platform. But you could argue that Harris has bigger fish to fry. Global wars are raging and fears about climate change are rising — economic uncertainty and a housing shortage are major concerns. Given that the crypto market is worth $2.2 trillion, less than 10% of America’s annual GDP, is she over-inflated about how much attention the sector deserves?

Furthermore, it will be interesting to see how much crypto will influence Americans at the ballot box in November. There are so many challenges facing the country, from education to the economy, healthcare to gun control, immigration to abortion, and it seems naive to think that many Bitcoin users will vote based solely on this issue.

Between now and Thursday, it doesn’t look like the crypto industry will have much to look forward to on stage in Chicago, but given how unpredictable and dramatic the race is, a lot could change in the next 76 days.